Id argue that advertising is am emergent side effect of money/commerce. Once you can produce goods for money you need people to be aware you are selling that product.
That being the case unless we stop using money their business is quite sustainable.
Right now we have a push-based ad model with a low signal to noise ratio. People are force-fed garbage in the off chance that in a moment of weakness they might accidentally make a purchase not in their best interests. The mutually beneficial aspect of what you're describing (informing people of goods and services at some Pareto optimum which they would actually benefit from) could just as easily be satisfied with a pull-based model, and the low SNR is an artifact of letting de facto scammers pay for the privilege of scamming people.